DOCKET NO.: FD 610266 RO
            
                                  STATE OF NEW YORK
                      DIVISION OF HOUSING AND COMMUNITY RENEWAL
                            OFFICE OF RENT ADMINISTRATION
                                     GERTZ PLAZA
                               92-31 UNION HALL STREET
                              JAMAICA, NEW YORK  11433


          ------------------------------------X
          IN THE MATTER OF THE ADMINISTRATIVE :   ADMINISTRATIVE REVIEW    
          APPEAL OF                           :   DOCKET NO.: FD 610266 RO
                                              :
               GP & T REALTY CORP.            :   DISTRICT RENT  
                                              :   ADMINISTRATOR'S DOCKET     
                                              :   NO.: BG 610680 R
                                              :
                             PETITIONER       :
          ------------------------------------X
                             

            ORDER AND OPINION DENYING PETITION FOR ADMINISTRATIVE REVIEW

               On April 19, 1991 the above-named petitioner-owner filed a 
          Petition for Administrative Review against an order issued on 
          April 16, 1991 by the Rent Administrator, 92-31 Union Hall 
          Street, Jamaica, NY concerning housing accommodations known as 
          2791 University Avenue, Apartment 1-B Bronx, New York wherein the 
          Administrator determined an overcharge and imposed treble damages 
          predicated on owner's collection of late rent payment charges 
          since there was no provision for same in the tenant's initial 
          lease.

               The Commissioner has reviewed all of the evidence in the 
          record and carefully considered that portion of the record 
          relevant to the issues raised by the Petition for Review.

               In this Petition for Administrative Review the owner 
          contends, in substance, that the renewal lease covering the 
          period from June 1, 1985 to May 31, 1987 contains a provision for 
          a late rent payment charge  as agreed to by the tenant.

               After a careful consideration of the entire record, the 
          Commissioner is of the opinion that this petition should be 
          denied.

               Section 2522.5(g) of the current Rent Stabilization Code (as 
          did the former Code) provides that the lease provided to the 
          tenant by the owner, with limited exceptions not here relevant, 
          be on the same terms and conditions as the expired lease.
















          DOCKET NO.: FD 610266 RO



               The record clearly discloses that the late payment clause 
          inserted in the tenant's renewal lease (6-1-85 to 5-31-87) was 
          not contained in the tenant's initial lease.  The inclusion of 
          such clause and the collection of late payment charges thereunder 
          was in contravention of the express provisions of the Code and 
          was properly found by the Administrator to constitute a rent 
          overcharge.

               Section 2526.1(a)(1) of the Rent Stabilization Code 
          provides, in substance, for the imposition of treble damages on 
          overcharges occurring on or after April 1, 1984 unless an owner 
          establishes by a preponderance of the evidence that the 
          overcharge was not willful.  The Commissioner does not consider 
          the owner to have rebutted the presumption of willfulness and 
          therefore finds that treble damages were properly assessed.

               THEREFORE, in accordance with the Rent Stabilization Law and 
          Code, it is

               ORDERED, that this petition be, and the same hereby is 
          denied and that the District Rent Administrator's order be, and 
          the same is affirmed.

               ISSUED:



                                                                            
                                                  JOSEPH A. D'AGOSTA
                                                  Deputy Commissioner
    

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